CobaltProsper

How to start an LLC in Connecticut

By Brent Chudoba, editor Updated

Forming an LLC in Connecticut costs $120 to file the Certificate of Organization with the Connecticut Secretary of State. After that you file an annual report of $80. Connecticut charges no franchise tax on a standard LLC. Annual report must be filed online only (no paper filings accepted) between January 1 and March 31 each year via business.ct.gov; the registered agent must be a Connecticut-resident individual or a qualifying/authorized CT entity with a Connecticut street address (no P.O. boxes) per CGS 34-243n.

How much does it cost to start an LLC in Connecticut?

Connecticut LLC costs (reviewed August 29, 2026)
ItemCost
Filing fee (Certificate of Organization)$120
Annual report$80/year
Franchise or business taxNone
Registered agentRequired

Source: Connecticut Secretary of State, fee schedule reviewed August 29, 2026.

What are the steps to form an LLC in Connecticut?

  1. Name your LLC. Pick a name that is available and meets Connecticut naming rules, then check it against the Secretary of State's business database.
  2. Appoint a registered agent. Connecticut requires a registered agent with a physical in-state address to receive legal mail. You can be your own agent, or hire a service.
  3. File the Certificate of Organization. Submit it to the Connecticut Secretary of State and pay the $120 fee. This is the step that legally creates the LLC.
  4. Get an EIN from the IRS. It is free and takes minutes. Do not pay a service for it. See how to get an EIN free from the IRS.
  5. Calendar your annual report. Connecticut charges $80 to keep the LLC in good standing. Missing it risks penalties or administrative dissolution.
  6. Open a business bank account. Keep business money separate from personal money so your liability protection holds up.

Does Connecticut have a franchise tax on an LLC?

No. Connecticut has no LLC franchise tax. The former $250 biennial Business Entity Tax (BET) applied only through tax periods ending before July 1, 2020, and was repealed by Public Act 19-117 for tax periods beginning on/after January 1, 2019; CGS 12-284b itself is now captioned "Affected business entity tax. Sunset." No replacement franchise/entity tax has been enacted.

How is an LLC taxed in Connecticut?

By default, an LLC is a pass-through entity: it pays no income tax itself, and the profits flow to the owners' personal returns. Connecticut has a state individual income tax with a top rate of 6.99% (graduated brackets), so those profits are taxed on your Connecticut return on top of federal tax. Seven brackets for single/MFS filers: 2% ($0-$10,000), 4.5% ($10,001-$50,000), 5.5% ($50,001-$100,000), 6% ($100,001-$200,000), 6.5% ($200,001-$250,000), 6.9% ($250,001-$500,000), 6.99% (over $500,000). Married-joint thresholds are double (e.g. 2% up to $20,000, top 6.99% bracket starts at $1,000,000); head-of-household thresholds are 1.6x single. The bottom two rates were cut from 3%/5% to 2%/4.5% starting tax year 2024 (unchanged since); all other brackets/rates unchanged since 2015. CGS 12-700.

An LLC can also elect to be taxed as an S-corp, which changes how owners pay self-employment tax. See LLC vs S-corp vs sole proprietorship and how self-employment tax works.

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